In the Currency Strength table, the EUR was the strongest currency while the JPY was again the weakest. There were some changes last week with the GBP losing 3 points and the CHF gaining 2 points. The other currencies remained around the same level of last week with a maximum change in the strength of just 1 point. There were a lot of classification changes last week and these are analyzed in more detail in this article.
13 Weeks Currency Score Strength
The 13 Weeks Currency Strength and the 13 Weeks Average are provided here below. This data and the “13 weeks Currency Classification” are considered for deciding on the preferred range. Because it is not ideal nor desired to change the range for a currency every single week, we perform several checks to avoid this.
1. First of all the strength over a period of the last 13 weeks is considered. See each row for more information.
2. Next, the 13 weeks average is considered, see the last row called “Avg. 13 wks.”
3. The number of weeks that a currency was stronger than another currency can also be considered.
4. The Technical Analysis (TA) Charts for each Time Frame could also be consulted.
For analyzing the best pairs to trade looking from a longer-term perspective the last 13 weeks Currency Classification can be used in support.
This was updated on 2 July 2017 and is provided here for reference purposes:
Strong: EUR, NZD and CHF. The preferred range is from 6 to 8.
Neutral: GBP, USD and JPY. The preferred range is from 3 to 5.
Weak: AUD, CAD. The preferred range is from 1 to 2.
When looking at the Average 13 wks. Score we can see that the EUR, CHF and the NZD are clearly grouped together as Strong currencies. The AUD and the CAD as Weak currencies and the Neutral currencies are the USD, JPY and the GBP. The latter has been 6 times weaker than the CAD, in the last 13 weeks, which is a Weak currency.
Classification review
This week we take a look at the Weak currencies and the GBP. As can be seen in the chart below the GBP is showing weakness lately. It was the weakest currency in the last 5 weeks. If the currency remains this weak in the coming weeks it may become a Weak currency.
The AUD and the CAD are showing strength lately. The CAD is even the strongest this week. Both currencies are still too weak to become a Neutral currency in the coming weeks.Below you can see the Weekly Currency Score Chart with the 6 months’ data as a reference.
Leave A Comment